Skip to main content
U.S. Department of Energy
Office of Scientific and Technical Information

Social benefit-cost analysis of mandatory deposits on beverage containers

Journal Article · · J. Environ. Econ. Manage.; (United States)

This paper presents a social-efficiency analysis of mandatory deposits on beverage containers. Five kinds of resource effects are identified, evaluated, and added up: (1) litter (both pickup and ''eyesore'' costs); (2) solid-waste collection; (3) container costs; (4) production and distribution costs; and (5) consumer convenience. It is shown that the desirability, on efficiency grounds alone, of mandatory deposits is not indisputable; it depends critically on one's evaluation of (1) the average value of the time it takes consumers to return empty containers and (2) the average value of the ''eyesore'' benefit of a dramatically reduced (i.e., by around three-fourths) volume of beverage contaner litter. (38 refs.)

Research Organization:
Univ. of Michigan, Ann Arbor
OSTI ID:
6446186
Journal Information:
J. Environ. Econ. Manage.; (United States), Journal Name: J. Environ. Econ. Manage.; (United States) Vol. 5:4; ISSN JEEMD
Country of Publication:
United States
Language:
English